Philippine peso an island of strength in Asia

The Philippine peso has outperformed most emerging market currencies so far this year and is likely to prove a store of value in 2009 as the economy is less vulnerable to the factors hammering markets elsewhere.

The country is likely to be the only nation in Southeast Asia to post a sharp pick-up in its balance of payments surplus in 2009, partly the result of loans and privatisation proceeds.

The economy is also less dependent on exports compared with its Asian neighbours, an unexpected bonus when world trade is shrinking and big markets are in recession.

The country's banks have little exposure to the credit problems being experienced elsewhere and the government's finances are far less reliant on overseas debt than in the past.

The big unknown is remittances from Filipinos working abroad, a driver of domestic consumption and pillar of the country's balance of payments.

But even in this sector, the Philippines may be better off than many other countries.

..."Against the other currencies in the region, the peso is going to probably hold its value or even see appreciation."
http://www.gulfnews.com/business/Economy/10298927.html